So if you are living in the old world where sales people knew everything about their accounts, where they provided the customer with all the “necessary information” and helped guide them down the path that eventually led to an order, you are in for an extremely rude awakening!

This old sales model is no longer valid, the selling company is no longer in control, and the potential end user/buyer is NOW in control.

There are many reasons why the sales model has changed and why you, as a vendor, should understand all the issues in order to reorganize your sales and marketing organizations to make them current with the today’s buyers.

One reason for this dramatic change is the Internet.   The world of information has been opened to the consumer (both B2C and B2B).  End users can research everything about a company, about particular products or services, about existing customer’s reactions, about any issues related to the company, the product or service and price.   The bottom line is that the end user is getting data and information about product and services how and when they want it, versus the vendor “spoon feeding” it to them.

So you have two choices, one you can keep doing things the way you have been and wonder why sales are not only not growing but actually declining.  Or, you can analyze the customer “domain” and modify your sales and marketing to be in sync with your existing and potential customers.

I will post some other issues that have caused the sales model to change, but in the mean time if you have any specific questions just ask them via Contact Us.

RHL 3/22/11

I started down this path by asking small business owners.  “Do you do any Marketing?”  Most small business responded by saying “I have referrals, thus marketing is not needed at all!” I then listed five reasons why small businesses should have marketing: referrals will not last forever, clients are looking for more than names, the web is a big influencer today, social media is influencing buyers’ decision and, small businesses need to differentiate themselves from competitors. The responses to this post have produced some additional comments that need to be mentioned:

Relating to the “referral” position, Jay Weinberg (www.thejaygroup.com) stated that one needs to “widen the funnel” and that social networking media and web tools can assist in doing this. He goes on to suggest that looking at key words that might indicate a need.  Also, join social networks (Twitter, LinkedIn, or Facebook) where people might need your specific services.  Remember future clients are researching you without you even know it, so be a part of their world and as a minimum know what they are thinking and saying!

 As for the web site and expanding your reach, Joe D’Ambrose (www.palmtreecreative.com) suggested using RSS feed to automatically link into other social medias like Facebook and Twitter.  Key point here is to expand your reach and expand it into areas where there are common interests. As for the web site being current, some form of a Content Management Tool can be used for updating.

Another item that I think is critical for all sizes of businesses is to know your customer and the benefits that your product or service is providing.   I always state in my classes that while features are important, the value proposition that address the customer’s “pain points” and how they will benefit is far more critical.  This should be summarized in a clear, impactful message.  Then select the media(s) that will best serve the markets you are addressing.  A point of clarification, in today’s environment, it is not the one media that you should select, it is the correct mix, so know which media(s) your audience is using.

To repeat from my last posting, there are many reasons why small businesses need to do Marketing, but they need to understand that the world of selling has changed, and to get customers they must show them that they are out there.  I and other have suggested there is a mix of both old and new marketing tools that can do this in the most effective and optimal way.

So again, what are your marketing plans for 2011?  If you would like a validation of your current or planned marketing plan, CONTACT US about our Marketing Resource Optimizer™ (MRO). 

RHL 10/26/10

First let’s define a contact center and their components.  A contact center is where enterprises manage all customer contacts. From the “external” side customers access information via one or more of the following multi channels; emails, e-mail newsletters, postal mail, catalogs, web site inquiries, chats, twits, phone calls, hand held devices and yes, faxes.

 A key point to remember is that marketing is responsible for creating, promoting, and monitoring customer satisfaction programs; thus marketing should understand the key components and functions of a contact center so they can make their customers and others aware of the value propositions and benefits of a contact center.

From the “internal or operational” side the contact center has to match a considerable amount of diverse volume with the ability to route the information, track the customer and their requests, provide the data, and link the requested channel access with the appropriate person or method, and all of this in a very easy and timely way.

 Here are the key components required in today’s environment that are needed to handle these functions:

• PBX/IPPBX or Key System, which is a telephone switching system that handles the phone calls (800 numbers), and internet (if its supports the internet /web site) requests
• Automate call management is system that distributes incoming calls to a specific group of terminals that agents use. Also included in this category are functions such as Interactive Voice Response (IVR), Automatic Call Distribution (ACD), Computer Telephony Integration (CTI or Call Transaction Servicer, Internet, and dialers) that all provide interfaces with the computing systems and the telephony systems.
• Data base infrastructure for storage and retrieval of information Here you have your servers; data base management systems and integrated directories.
• Internet web site for internet and two way interactions
• Specialized software for applications like text to speech or speech recognition that allows customers to input requests via voice or text and hear or read responses.
• Agent pools, those people you eventually talk to that  handle the phone calls
• Recording and quality control systems  usually for legal and regulatory reasons
• Other media server (A dedicated computer appliance or to a specialized application software) providing for such things as faxes, digital voice and video
• Security functions for the protection of the customer information and your data
• Self Serve function ways for customers to resolve their problem themselves

A couple of critical issues that must be addressed for any contact center:

One is the overall is the integration of these functions.  This integration can be the difference between a world class contact center and one that causes nothing but customer frustration.  One example of this integration is the following: Have you even called an 800 number and one of the input requests is your social security number and then you get transferred to someone or another directory and the first thing you are asked is please input your social security number? Sometimes this request happens numerous times before you either get a person and or your answer.  This lack of integration does not support customer satisfaction.

Second, customers want options and want to access information via their favorite media; therefore a contact center must have multi channels of access.  This multi access must be such that a customer can access his information from home or anywhere else at anytime.

Bottom line is that customers are in control and thus any barriers or obstacle that you put in their way will lead to trouble (customer dissatisfaction) and potentially lost customers and revenue.

Have you analyzed your contact center to see if it is current with the new technologies?

RHL 9/28/10

Recent data indicates that tradeshows have been on the decline for a number of years. Reasons for this vary but two are the economy and the newly emerging alternatives to tradeshows.

Now the downturn in the economy made corporations look at expense items and increase their cost cutting activities. Tradeshows were one of the areas that got hit very hard.   It is a very expensive activity when one considers the cost of the floor space, construction of the booth, staffing ( lodging and travel), entertainment, pre and post advertising, lead generation programs, professional hawkers, video production, specialized collateral, give a ways, etc., etc.  And let’s not forgot the potential attendees. They too work for corporations, and their management is doing the same cost cutting activities…getting approval to go to tradeshows is becoming very difficult.

Second, tradeshows in most cases (there are always the exceptions where certain industries, tradeshows are doing fairly well) have become alumni reunions or a chance to pass your resume on to your competitor.   At one recent tradeshow that I attended, I would conservatively estimate that the ratio of potential buyers to vendors was one to twenty! 

The economy probably put focus on the cost versus returns on investment metric for tradeshows, but I think the real negative impact on tradeshows is coming from the increasing alternatives now available.

Some of the byproducts of the Internet relative to tradeshows are seminars, webinars, podcasts, virtual tradeshows, web sites, blogging, user’s groups and live video demonstrations.

The first step for many corporations was to not withdraw from being at a tradeshow, but to cut back on the size and the amount spent, augmenting the shows with some of the above mentioned activities.

This way, there was presence at the show so no one would think they were going out of business and by physically participating some lead generation could be realized and/or a product/service introduction  could be made if it was appropriate.

As the stigma of not attending a tradeshow has decreased, corporations are shifting more to events like seminars, virtual tradeshows and other alternatives. 

So as I have always stated, there are choices and now, more than ever, there are numerous alternatives to tradeshows.

Here are some suggestions on selecting where you might spend your marketing dollars when it comes to tradeshows.

1-      Look at the tradeshows past attendance record, mix, and profile to see how closely it matches your customer profile.

2-      Which one of your competitors, partners or major clients are attending the shows you are considering?

3-      Are you planning on having a major announcement (product, service, technology or partnership) that would generate increased awareness or people to come to your booth?

4-      Will the blend of items like webinars and targeted email campaign deliver a better return on investment (leads/dollars spent) then one tradeshow?

5-      If a tradeshow does make sense, maybe consider “partial” involvement (fewer days, or smaller booth, etc.) and augment the show with a pre or post email campaign.

6-      Consider outsourcing the tradeshow activity to reduce some of the cost and time involvement.

7-      Consider attending the tradeshow as a speaker, with an “off-floor” presence to meet current and potential customers and partners.

8-      Do a complete ROI and potential sales impact on whatever marketing mix scenario you are considering.

See you at the next virtual trade show!

RHL 9/1/10

The following are five areas that one should consider in either upgrading or enhancing your call center.

1-      Multiple media support:    In today’s environment people have a choice of how they prefer to communicate and if one does not meet these needs  you are not only going to lose customers but will also be viewed as laggers not an  innovators or a leading- edge company.  With the growing acceptance of technologies like VOIP, mobile phones and the Internet in general, your call center should be supporting multiple communication channels.  While the good old telephone is important, it is being replaced with the following methods:  Mobile/cellular phones, Web interfaces, email, and chat (SMS), twitter and VOIP communications.  So is your call center capable of supporting these diverse media and if so, have you surveyed your customers to find out what they prefer?  If your call center currently does not support these media, what is required to upgrade it?

2-      Web Base Self Service is practically a necessity given that the consumer is now in control. What I mean by that is the consumer wants to be able to access information about the product or service they are thinking about buying or information about the product or service they currently own.  From the enterprise point of view, self service contributes to reducing costs and therefore resources can be applied to other services or applications. A question we often get relates to the management of this function and content…Customer Service or Marketing. Bob has written in the past about how Customer Service is moving more under the Marketing organization.

3-      Reporting and Analytics: the world is evolving from mass merchandising to one on one merchandising.  In order to get to one- on- one connections, analytics and reporting are needed.  It makes no sense to gather data and then just let it “sit” in a data base. Reporting and analytics are required to turn data into information.   Analytics not only help convert data into information but give you guidance on potential trends, consumer preferences, geographic buying and insight on potential features.  As for reporting it is very beneficial to continuously run customer surveys for inputs into your customer satisfaction programs.

4-      Integration with other application platforms: to have a universal view or what others call a 360 degree view, your call center needs to be fully integrated with other service and or communication applications. Applications such as ACD, CRM, IVR, call routing, customer satisfaction data and escalation reporting provide this full view and therefore unique value propositions which will differentiate you from the competition.

5-      Survivability/security: considering the call center is the critical interface between the customer and your enterprise, you need to make sure it is available 7 X24 and if there is a glitch, the call center can recover seamlessly.  If access by the customer is difficult or time consuming, you are several clicks or phone calls away from losing them. As for security, we all have heard incredible stories about stolen information.  If this happens to your enterprise, the number one factor that will be destroyed is goodwill, which could be gone forever.

To summarize, you first must have an overall strategy and then make sure that you match your customer needs and habits with the type of products or service you are offering.  Part of the equation to accomplish this is a call center. So make sure you have the correct capabilities within your call center and the major factors of multiple media, self service, reporting and analytics, survivability/security and integration with other customer facing applications.  

One last thing, make a call yourself to your own call center and see what kind of experience you have!

RHL 6/08/10

The Fire Alarm Marketing web site went “live” on May 5, 2009.  We have used it both to communicate to our community, as well as to appreciate some of the Web 2.0 issues that have plagued our clients.  This experience has been positive and instructive, and we would like to share our findings.

• In the past year we have had 3,658 visits to our web site.  2,259 or 61% of the visitors were unique, which means that over a third of the visitors came back for subsequent visits.
• The 12 month average of 188 unique visitors a month masks our starting out slowly, and growing to our current run-rate of well over 200 unique visitors a month.
• There were 10,313 page views, meaning that those that came to the site visited, on average 3 pages a visit.  Not surprisingly, our Welcome page was the most visited page.
• Traffic came from three sources, almost evenly divided.  36% came from search engines, 30% came directly and 29% came from referring sites.  (5% came from other.)
• Visitors came from 86 countries and territories.  80% of the visitors came from the US, with the majority living in New England.
• We have published 82 posts, penned by ourselves and three guest bloggers.  Of these posts the five most popular are:

The Pros and Cons of Indirect Distribution

The Pros and Cons of Direct Distribution

The Upside-Down World of Lead Generation

Doritos’ Shameful Super Bowl Ad – The Slap

Issues Regarding VOIP

• We have had 757 comments, regarding the value from our blogs, requests for other topics, and the usual spam.
• Using Hubspots’ Website Grader, we have a ranking of 81, leaving us room to improve, especially in the area of inbound links and social networking.  We do have twitter accounts and have, within the last few months, linked our website to our corporate LinkedIn and Facebook pages.

Lessons that we have passed along to our clients:

• Today, the Internet is THE source of information.  When you meet, write or comment, interested people go to your website.  Having an up-to-date, easy to navigate web site is mandatory.
• Try to make web pages engaging, i.e. have a call-to-action or requests.
• Change is essential.  While we have not done a complete “facelift,” virtually every page has been examined, modified and/or changed to some degree.  Our clients should expect to continuously work on their web sites.
• Writing is hard.  Those chosen to post blogs on the site must be able to clearly convey one or two messages in 500-600 words or less.
• Spammers are a fact of life.  Everyone who allows comments on posts will get spammed.  So be aware that one needs to monitor these activities.
• Web 2.0 is evolving.  In April of 2009 having links to corporate Facebook and LinkedIn pages was only being done by a few…today it is almost mandatory.  Tomorrow it will be something else, which goes back to the idea of constant change.

Bottom line, your web site is NOT a static display but should be evolving, inviting and most of all provide value and original content.

Have your experiences over the past year been different?

RHM  5/5/2010

site is performing, there are a number of tools that can address this need.  A popular data-gathering tool is Google Analytics (www.google.com/analytics/).  While it may not be the most extensive, I would recommend it for two main reasons; one, it covers a good range of statistics for those who are just starting in this area and second, it is free (not bad considering today’s economy).

The following are some initial guidelines in getting started and tracking some of the critical variables.       

 1- Tracking Code: To collect any data for review you must first install on your web site what Google calls its tracking code.  After signing on to Google Analytics go to overview and click on Edit and then click on status.  It will show you a copy of the tracking code and explain where to paste the code into your web site.  Once you have installed the tracking code, wait at least 24 hours for Google to provide some initial data.  After waiting, sign in to Google Analytics and click on view report.  You are now ready to starting analyzing your web site’s performance.

 2-Bounce and Exit Rates:   After clicking on view report, look on the left side of the page, click on content and then top content, scroll down to see the details.  You will see bounce rates and percent exits.  Bounce rate tells you that for this particular page the viewer came and left just that page.  If you have too many high bounce rates, you might want to reconsider the contents of these pages.  Exit rates tell you that the visitor left your site via this page.  Again, like the bounce rate, if you have many exit pages, you might want to change the content of these pages or the linkages.

 3-Keywords: Go and click on traffic sources and drop down to keywords.  This page will give you an idea of which keywords are driving clients to your web site.  You may want to modify some keywords if you are not seeing the results that you are want.

 4-Landing pages: Click on Content and then Top Landing Pages.  Landing pages are the pages on how visitors got to your web site.  It is important that these landing pages have viewers go to other pages or stay on these pages.  Again, if the data shows otherwise, you might want to modify the content and/or insert an offer or put a call to action on these pages.

 5- Average time on page: Click on Content and then Content by Title.  Average time tells you how long a visitor is on each page.  This is an important piece of data because it tells you if the viewer is just “passing though” or is actually reading the content of the various pages.  Again, if the average time is low on certain pages, you might want to modify them.

 6- Goals: Google Analytics provides you with the capability of setting up four (4) goals.  By creating goals, you can see if activities like campaigns, emails or promotions are meeting your targets.  To setup your goals click on view report and then Edit.  Scroll down to the goal section where you can name the goals, select types and input a value for each goal.

 Well these are just some of the basics in getting started with Google Analytics.

Regardless of which data collection tool you choose, pick one and start gathering so you can see if you are meeting your goals and how your web site is performing.

 If you have any questions or issues with Google Analytics drop me a note and I will get back to you.  Until next time, turn that data into information!

 RHL  11/ 05/09

Recent releases, pronouncements and advice from analysts have continued to muddy the waters relating to social networks and networking.

• First, it was tweeted that ESPN was banning their talent from using twitter.  This was later clarified, but a close reading of ESPN’s policy suggests that ESPN personalities will only be tweeting about the weather.

• Then, the NFL took action by issuing a new policy,  ”The NFL, which has an official Twitter account, issued an edict this week banning coaches, players and football operations personnel, or anyone representing them, from updating their status on Twitter, Facebook or other social media during games and up to 90 minutes before and after.“

• This was followed by a research report from CareerBuilder that showed that hiring managers are frequently not making (or making) hiring decisions based on what they find on Facebook pages.

• The security pros got into the act, giving strong endorsement to security luminaries, Marcus Ranum and Hord Tipton when they denounced twitter at a Forrester conference.

• Finally, McKinsey released a report on Web 2.0 that shows that companies are effectively employing Web 2.0 tools, primarily blogs, wikis, and podcosts, but internally, not necessarily externally.

Given the buzz and hype, the mixed and often confusing messages, what position should a CMO take regarding of Web 2.0 or social networking or whatever it is called?

1. The use of new tools is here.  The key is how to best use them to achieve Marketing goals.
2. Indiscriminate use poses significant risk, especially data loss.  The new tools cannot be implemented without firm corporate policies…see ESPN and the NFL for examples.
3. Proof-points exist where they are being used to achieve higher levels of customer satisfaction and in meeting customer needs…see McKinsey.  Building off knowledge learned here can position the Marketer to use these tools in identifying customer needs as well as lead generation and qualification.
4. The “best practice” implementation of these new tools is unknown.  Those using them are trying, potentially failing and trying again.  There is little or no guidance in this area; waiting for the time where guidance and direction exists will be too late in today’s competitive arena.

Does your firm have a Social Networking policy?

Are you monitoring what is being said about you and your company?  If yes, are you responding appropriately?

Do you, as the CMO, have a number of initiatives launched or teed-up using the new social networking tools, risking failure, or are you a laggard waiting until the train has left the station?

RHM – 9/21/2009

Daily, I read blogs from a variety of sources.  A powerful demonstration of the reach and impact of the Internet and social networking came into play last week from two different sources, Harvard Business Publishing and Security Bloggers Network. The two blogs and their references relate to brand, image and customer service. As I have discussed before, forward-looking companies view customer service as part of their marketing department.

The first was a blog from by Bill Taylor on Harvard Business Publishing, about Amazon’s acquisition of Zappos. After commenting on Amazon’s acquisition, Bill talks about Zappos. He reports on how the culture at Zappos allowed them to handle a problem with a bereaved customer in an outstanding fashion. (The customer’s blog “I Heart Zappos” by Zaz Lamarr, has been quoted and cited by many as an example of Zappo’s customer service) The Zappos culture has helped them develop a loyal customer base, and according to Bill made them an attractive acquisition candidate.

The second was a blog from Alex Eckelberry of Sunbelt Software, directing me to a YouTube video by musician David Carroll, on how United Airlines broke his guitar while his band was on tour, and how they refused to handle his complaint. For United, the scary thing is that over 3,719,000+ people have viewed this video. (The video was also mentioned on CNN and MSNBC) Now, 3.7+ Million people are a lot of flyers. 197,000+ viewers have watched a subsequent video, where Dave talks about how United has offered compensation for his broken guitar…not a winning ratio of negative to possibly positive.

Two postings, one positive by Zaz, one negative by Dave and both picked up by subsequent bloggers, in my case Bill and Alex. The originals have had a far-reaching impact and both were developed out of the “control” of the respective companies. The lesson to take away from this juxtaposition is that customers today have significant, far-reaching, economic power. They can, and have as illustrated, boost or tear down your company, image, or brand

Up until recently, complaints or bouquet letters came into a company via snail mail or the phone. A pleased or disgruntled customer told his or her circle friends how they were treated by the company. Today, the Internet and social networks allow for the posting of good and bad, to millions of readers/viewers, all of whom are potential customers.

The questions that companies should be asking themselves are:

· How well are we dealing with our customers and customer base?

· Are we monitoring the Internet and social networks for comments about us?

· What is our response policy and procedure in the event something negative (or positive) is said?

· Are we “literate” enough to respond in kind, i.e., if the posting is a blog, do we blog, if it is on YouTube, do we know how to post on YouTube, etc.?

What would you do if someone posted a negative video on YouTube about your company, or a positive blog on their web site? Are you prepared for the long-term implications and fallout?

RHM 7/27/2009

First published in 1960, E. Jerome McCarthy’s seminal text “Basic Marketing,” outlined a “marketing mix” of Product, Place, Price, and Promotion. At that time, the concepts of social networking and inbound marketing were not even a glimmer on the horizon.

Today terms such as social networks, fans, contacts and inbound marketing are discussed as major elements of the marketing mix. What is the proper ratio of these new tools to the traditional tools and elements defined by McCarthy?

The correct answer is of course, it depends.

While the new tools can be applied to all the elements of the traditional marketing mix, for this posting I focus on the “Promotion” element. Promotion means bringing your product and brand to the attention of potential buyers, convincing them that your product(s) are better than the competition and incenting them to buy yours.

Traditional activity in this area has included generating leads, converting them to prospects, and cultivating them during the sale process. Additional activity includes establishing, building and reinforcing your brand so that it assisted in the lead/sales process.

Some social networking advocates are suggesting that traditional promotion no longer works, as the buyer has become immune to advertisements and that they only way to reach him/her is by making him a fan or contact…someone who follows you because of you represent a trusted authority on this area. Two books, “jump point” and “Maverick Marketing” by two different people, both interestingly enough named Tom Hayes, suggest that the next battle for eyeballs will be inducements to visit portals or websites. Tools that can be used to establish this relationship include blogs, web and podcasts, twitter, facebook and Linkedin.

One example as to how these tools are being used today can be found on Dell’s Community page. (http://en.community.dell.com/) It is interesting to note that Dell has the plans and resources to develop and deliver content via multiple media and languages.

However, Dell is a multi-billion dollar corporation with sales around the world. What about a firm with sales under $200M, mostly in the US? Again the answer is, it depends. A consumer product company, doing business only on the Web, will probably implement blogs, twitter, ‘casts, wiki’s, etc. A B2B company with a finite number of customers is probably more interested in establishing its brand/position, and can work effectively with a blog by its CTO. Interwoven in the “it depends” answer are the channels of distribution that a company employs.

The pragmatic Marketing manager in 2009 deploys social networking tools by understanding and listening to his customer base. What resonates with them? What media are they using to gather and evaluate information…is it a trade show or an analysts blog? Is the purchase cycle long or short, and how do social networks impact on this decision process? How are the competitors reaching out to the customer base? Which is the dominant distribution channel and is it changing? Etc. etc.

How closely are you listening to your customers? What plans have you put in place to meet your customer’s purchase patterns, especially if they are changing? Do you have any plans to change your distribution channels, and how will social networking help you in this process?

RHM 7/23/2009